Joe Habscheid Reveals Five Essential Steps for Medical Practitioners to Efficiently Acquire New Clients and utilizes AI
Nationwide, September 18, 2023 (USANews.com) - Joe Habscheid is a business growth strategist who has transformed multiple small businesses into multi-seven-figure companies. Recently, he shared his insights on how to scale a medical practice to a $2.5-million revenue mark with the use of AI.
Habscheid demonstrated his effectiveness by elevating a Plastic Surgeon's practice in a small Midwest town from $1.3 million to $2.8 million in revenue within 18 months. Not only did the practice maintain a revenue above $2.5 million for a decade, but the doctor also found more time to spend with his family, with most of the revenue increase being pure profit.
Here's a breakdown of the five critical steps Joe Habscheid suggests for medical practices aiming for substantial growth:
- 1. High-Value Procedures are a Must: Doctors need to offer high-value procedures that directly address significant patient issues. Whether it’s plastic surgery, dental work, or chiropractic care, the fee should fall within a lucrative price range, such as $3,000 to $5,000.
2. Track Key Performance Indexes (KPIs): Doctors need to measure specific KPIs to monitor their growth. These may include the number of procedures performed, consultation-to-procedure ratios, and advertising costs per prospect.
3. Optimize KPIs Strategically: Doctors must focus on the right KPIs for the best outcomes. For instance, if a doctor's marketing strategy secures prospects at $125 each and has a closing rate of 33%, then certain conditions must be met:
a. 60 consults and 180 prospects are needed each month, at a total advertising cost of $22,500 for $100,000 in revenue.
b. Staff training can reduce the required candidates to 120, bringing the cost down to $15,000.
c. Further training and improvements could lower this to 40 consults and 80 prospects, costing only $10,000 per month.
d. This improvement can typically be achieved within 8-10 weeks.
e. In a best-case scenario with an 80% consult-to-procedure ratio, only 25 consults and 50 prospects are needed, costing $6,250.
f. The strategy is not just about reducing costs; it's also about saving time. For example, the time saved on consults could be used to perform more procedures.
g. The ultimate goal is to reduce advertising costs by 60% while freeing up enough time to carry out the procedures, thereby generating nearly pure profit.
4. Implement a Robust Referral and Follow-up System: A good referral system can turn satisfied patients into advocates, while a follow-up system keeps potential patients engaged. Traditional media won't suffice; modern online methods are essential.
5. Invest in Training and Technology: Whether the practice chooses to bring the knowledge in-house or outsource it to a marketing firm, expertise in technology and systems that turn prospects into patients is crucial.